Unit Linked Insurance Plans (ULIPs)
Insurance plans that combine life cover with market-linked investment in funds of your choice.
How we help
A ULIP splits your premium between life cover and units in a fund you choose, such as equity, debt or balanced. The value of your units changes with the market, so the maturity amount is not fixed and you bear the investment risk.
Charges apply for premium allocation, fund management, policy administration and the cost of life cover. These reduce the amount invested, so we show you the charges in the benefit illustration before you commit.
A ULIP has a minimum lock-in of five years and works best for long holding periods. We help you match the fund choice to your time horizon and risk comfort, and explain switching between funds.
What it covers
- Life cover with investment component
- Choice of funds and fund switching
- Returns linked to market performance
Policy benefits, eligibility, premiums, and terms vary by insurance product.
Before you decide
Points to check
- 01The total charges and how they change over the policy term
- 02The fund options and their past performance, which does not guarantee future returns
- 03The five-year lock-in and what happens if you stop paying earlier
- 04The life cover amount compared with the premium
- 05How the maturity proceeds and any switches are taxed
Common questions
What people ask us about Unit Linked Insurance Plans (ULIPs)
Are ULIP returns guaranteed?
No. Returns depend on the performance of the funds you choose, and the value can go down as well as up. Only the life cover on death is fixed.
Can I withdraw money before maturity?
Partial withdrawals are generally allowed only after the five-year lock-in, subject to the insurer's conditions. Discontinuing early can mean lower proceeds and may carry charges.
Is the maturity amount taxable?
Tax treatment depends on the premium paid and the date the policy was issued, and the rules have changed in recent years. We check the current position for the specific policy.
More in LIC – Life Insurance Products
- Term Life InsuranceFinancial protection for your family through life cover for a specified policy term.Learn more
- Whole Life InsuranceLife cover designed to continue for a very long period, often up to age 99 or 100.Learn more
- Endowment PlansLife insurance plans combining protection with savings benefits.Learn more
- Money-Back PlansLife insurance plans that may provide periodic payouts during the policy term.Learn more
- Child Insurance PlansPlans that help fund a child's education and future milestones, with protection for the parent.Learn more
- Pension PlansInsurance-based solutions designed to support retirement income needs.Learn more
- Annuity PlansPlans that turn a lump sum into a regular income, for life or a fixed period.Learn more
- Retirement PlansPlanning to build savings and an income that can support you after you stop working.Learn more
- Group Life InsuranceLife cover for the members of a group, such as the employees of a company or a society.Learn more
- Joint Life InsuranceOne policy covering two lives, usually spouses, with a single premium.Learn more
Shree Sai Insurance is the practice of Amit Dhirajlal Waghela, an AMFI-registered mutual fund distributor (ARN-166386), not a SEBI-registered investment adviser. The firm earns commission from asset management companies on the schemes it distributes, does not charge a fee for distribution, and does not guarantee returns. Insurance is offered separately from the mutual fund distribution business. Mutual fund investments are subject to market risks. Read all scheme related documents carefully.